Third-party Bike Insurance in India: Premium Rates, Legal Limits and Exclusions

Every bike must meet the basic insurance requirement while driving on Indian roads. Third-party bike insurance fulfils this requirement by providing financial cover for legal liabilities arising from death, injury, and property damage to third-party parties.

Understand the premium rates, legal requirements and exclusions to make informed insurance decisions. It also provides a clear view of the protection offered under this cover. Continue reading to learn more about third-party bike insurance in India.

What is Third-party Bike Insurance?

Third-party bike insurance is the most basic type of bike insurance in India and is required for all registered two-wheelers. It offers financial coverage against third-party liabilities arising from property damage, injury or death due to an accident.

This policy helps vehicle owners to comply with legal obligations under the Motor Vehicles Act. It safeguards the interests of third parties rather than providing damage cover to insured bikes.

Third-party Bike Insurance in India: Key Inclusions and Exclusions

Third-party bike insurance covers legal liabilities arising from accidents. Listed below are the key inclusions and exclusions of this policy.

Inclusions

Bodily Injury and Death of Third Party

The policy provides coverage for any third party suffering from bodily injury or death due to an accident involving the insured bike. Compensation is offered in accordance with the provisions of law and terms of the policy.

Legal Expenses

Third-party bike insurance covers legal liabilities arising from covered accidents. It helps the policyholder meet financial obligations resulting from third-party claims.

Property Damage

The policy includes coverage for damages to third-party property. This might include another vehicle, building or other property, up to the coverage amount mentioned in the policy.

Exclusions

Personal Accident Cover

Personal Accident Cover is not specifically included unless you opt for it or it is required under the policy.

Own Damage

This policy will not cover any repairs or replacement costs for damage to the insured bike.

Electrical and Mechanical Breakdown

Repairs due to electrical or mechanical failure that are not caused by a covered accident are excluded.

Driving without a Valid Licence

Claims that occur while riding the bike without an appropriate driving licence are excluded under the policy.

Understanding Premium Rates for Third-party Bike Insurance

The Insurance Regulatory and Development Authority of India (IRDAI) regulates third-party bike insurance premium rates. IRDAI mandates that rates are determined based on the two-wheeler's engine capacity. These premium rates are revised annually.

Here is the table outlining the third-party insurance prices for two-wheelers in 2026:

Bikes with Engine Cubic Capacity (CC)	Premiums for Third Party Bike Insurance
Less than 75 cc	₹538
75cc up to 150cc	₹714
150cc up to 350cc	₹1,366
More than 350cc	₹2,804

Safeguard Every Ride with TATA AIG Bike Insurance

Third-party bike insurance serves as an important part of responsible bike ownership. It helps you meet legal requirements and provides financial cover against third-party liabilities arising from unforeseen accidents. Understanding its coverage and exclusions helps you make more informed decisions about bike insurance.

TATA AIG provides third-party and comprehensive two-wheeler insurance policies to meet different coverage needs. The policies are readily available and can be purchased or renewed online easily. With comprehensive plans, you can enjoy full coverage against your own damage, and you can also include add-ons to enhance coverage. TATA AIG makes bike insurance convenient and reliable with its extensive network of cashless garages and a streamlined claims process.

Note to the Reader: This article is part of HT Auto promotional consumer connect initiative and is independently created by the brand. HT Auto assumes no editorial responsibility for the content.